It would be nice if there were a surefire and legitimate way to get rich quick. But there isn't.
According to a new study from Bank of America's US Trust, 77% of the firm's clients rose from middle class and poorer backgrounds to become high net worth (HNW) individuals by building their wealth slowly over time.
As for investing, do HNW individuals — those with at least $3 million in investable assets — have access to some secret trading strategy exclusive to rich people?
No. For the most part they employ a "basic, long-term approach to investing."
"Eighty-six percent of HNW investors made their biggest investment gains through long-term buy and hold strategies, traditional stocks and bonds (89%) and a series of small wins (83%) versus taking big investment risks. Their use of more sophisticated investments grows as their wealth increases."
"Buy and hold" is exactly what it sounds like. You buy what you think is a good stock, and then you hold on to it with the expectation that it mayRead More »from The not-so-secret way millionaire investors get way richer